YFAI INDIA

The QAD Supplier Portal improves our productivity, saves us

money and ensures we consistently meet our customers’ needs”

Sandeep Kularni, YFAI India, General Manager and CEO

CUSTOMER CASE STUDY

YFAI INDIACUSTOMER CASE STUDY

QAD SUPPLIER PORTAL IMPROVES AUTO COMPANY’S SUPPLIER MANAGEMENT AND CUSTOMER SERVICE

THE COMPANY: YANFENG AUTOMOTIVE INTERIORS

Yanfeng Automotive Interiors (YFAI) is the global leader in automotive interiors. Headquartered in Shanghai, the company has approximately 110

manufacturing plants and technical centers in 20 countries and more than 33,000 employees globally. They design, develop and manufacture automotive interior components for most automotive brands.

Established in 2015, Yanfeng Automotive Interiors is a joint venture between Yanfeng, one of the largest automotive suppliers in China and Adient, the global leader in automotive seating. Yanfeng India Automotive Trim Systems is an India-based production facility specializing in the manufacture of instrument panels, door trims and gear box consoles.HIGHLIGHTS

CompanyYanfeng Automotive Interiors

Headquarters Shanghai, China

Industry Automotive

Products Automotive Interiors

Solutions Utilized QAD Supplier Portal

THE CHALLENGE: EFFECTIVELY MANAGING MULTIPLE SUPPLIERS

The YFAI India plant didn’t have 24/7 real-time information sharing with their 22 suppliers. This lack of communication often caused problems with inventory control overages as well as shortages, and the timely completion of customer orders.

Procurement was done manually in a spreadsheet. Forecasts were sent to suppliers but not updated in real-time. This meant changes and fluctuations were not communicated consistently causing problems with parts not coming on time; unknown dates of dispatch; and lack of information on whether suppliers were sending partial or full quantities.

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Due to these problems, premium air freight charges were routinely necessary when customer orders weren’t completed in time for normal shipping.

“When YFAI started in India in 2012 we had just a small footprint serving one major auto company. But the India plant has been quite successful, becoming high volume, which has increased the complexity of our operation. On top of that, customer expectations for integrating their ERP into ours became quite critical,” comments Sandeep Kularni, general manager and CEO, YFAI India. “Traditionally we had managed our supply chain by manually sending schedules, tracking those schedules and manually entering material availability –– there were a lot of pitfalls. We needed to upgrade our supply chain

management as the traditional way we had been managing was no longer sufficient.”

THE SOLUTION: REAL-TIME COMMUNICATION WITH THE QAD SUPPLIER PORTAL

“We learned about QAD’s Supplier Portal through discussion with our QAD team,” continues Mr. Kularni. “The team visits us regularly, updating us on the new things QAD is bringing to the market. We had been discussing how we needed to improve our supplier management for quite a long time and when we heard about the QAD Supplier Portal we were eager to see how it works. Once we saw the demonstration of what the QAD Supplier Portal can do, we knew it was a great fit for us.”

The QAD Supplier Portal facilitates real-time communication across the supply chain by extracting key inventory, order and related data and making it visible to suppliers via secure internet access. It is a cloud-based solution that can integrate with any ERP whether the client or suppliers are cloud-based or on-premise.

The Supplier Portal works as a data-poller which pushes data to and from the ERP. Suppliers access the Supplier Portal using a browser and have self-service for invoices, bills of material, specifications and other types of documents. With the Supplier Portal suppliers can access PO and invoice information, GRN and rejections – all in real time, in easy to use formats.

The QAD Supplier Portal provides simple supplier implementation with no hardware needed. The program is quick to implement and is widely accepted by suppliers.

REDUCTIONIN MISSED DELIVERIES90%

25% REDUCTIONIN INVENTORY AND

THE ELIMINATION OF SHORTAGE AND OVERAGE PROBLEMS

©QAD INC.CUSTOMER CASE STUDY YFAI INDIA

THE BENEFITS: INVENTORY CONTROL, COST SAVINGS, CONSISTENT CUSTOMER SHIPMENTS

“One of the biggest things we have achieved by implementing the Supplier Portal is our ability to now furnish our suppliers forecasts and rolling plans live in real time,” adds Sameer VC, SCM manager. “This reduces lead times, and maximizes the shipment process. With the Supplier Portal and real-time Advanced Shipping Notifications (ASN) our suppliers have noted there is no longer any confusion on forecasts, scheduling and supply needs. And, we have now achieved seamless electronic connectivity with all our sub suppliers which is a requirement for MMOG/LE Certification.”

The alerts and exception notifications available in the QAD Supplier Portal help YFAI India better manage inventory delivery and quality issues from suppliers, enabling both YFAI and their suppliers to more proactively optimize the performance of their production schedules.

Some of the other benefits YFAI India is experiencing with the Supplier Portal include:

• Increase in inventory turns from 40 turns to 70

• 25 percent reduction in inventory and the elimination of shortage/overage problems

• Head count savings of one full time position

• 90 percent reduction in missed deliveries

• Drop in premium freight costs from 1-2 shipments per month to only two in eight months

• Faster payments and adherence to credit terms with streamlined invoicing processes

• Standardization of bar codings

“Our suppliers have adapted very well to using the QAD Supplier Portal. They now have forecasts for six months which are updated in real time as needed. The YFAI India plant and all our suppliers can now plan resources, machines, manpower, everything – based on these updatable schedules. The Supplier Portal application has really helped the YFAI India plant achieve a lot of milestones and benchmarks which we had set ourselves,” concludes Mr. Kularni.

Since implementing the QAD Supplier Portal we now hear from

our suppliers – ‘The Supplier Portal is easy to use and no other

customer of ours gives us such crisp and clear schedules as

YFAI India.’

Sandeep Kularni, YFAI India, General Manager/CEO

www.qad.com ©QAD INC.Last updated 5/2018